“Investing in agriculture today is investing in national resilience”

Loïc Koenig, General Manager, Agriterra

At Agriterra, there is a strong belief in the future of the agro-industry sector. In this interview with Bizweek, General Manager Loïc Koenig talks about the company’s high-export diversification strategy, and its commitment to self-sufficiency and the circular economy. National resilience in food production can only happen, he believes, if there is preservation of the arable land base, a real commitment to irrigation, mechanisation and digital tools, and consistent policy support in the long term.

How is Agriterra performing in terms of activities and turnover?

Agriterra remains a diversified agricultural group built around sugar cane as its core activity. Our milling activities are carried out through Terra Milling, complemented with food crops like potato, onion and others.

Our performance has been resilient despite rising input costs, labour constraints and climate variability affecting the sector. We expect to process around 670,000 tonnes of sugarcane this year, representing an increase of 20,000 tonnes compared with 2025.

“Zero waste is already a reality for us, and we are constantly striving to reduce our carbon footprint.”

This is expected to yield between 66,000 and 67,000 tonnes of sugar. With more than 95% of our production targeted for specialty sugars, we anticipate producing approximately 63,000 tonnes of specialty sugars.

How does Agriterra contribute to the Mauritian economy beyond the sugarcane sector?

Beyond sugarcane, we contribute through vegetable production (potato and onion) that directly supports local food supply. We also carry out industrial activities that valorise bagasse, ash and scum, which are transformed into organic fertiliser. Through this activity, we contribute directly to reducing agricultural waste and the sector’s reliance on imported chemical inputs. We are also continuing our development of unproductive, fallow and marginal land for productive use through land levelling. 

Each of these activities generates employment and local economic activity well beyond the cane fields.

What agricultural diversification levers do you prioritize to strengthen the country’s economic resilience?

We currently prioritise high-value export diversification. In this area, we are actively working on a potential macadamia production and exportation project, in addition to our current import-substitution crops such as potato and onion.

Moreover, we are actively reclaiming unused land for agricultural purposes through derocking and levelling. This will enable us to grow more crops and increase production in the future, strengthening national agricultural production while enhancing economic resilience.

“Agriculture needs the same level of predictability and support that other strategic sectors benefit from today.”

Agriterra is also heavily engaged in the promotion of circular economic practices such as industrial product valorisation, which reduce input costs and environmental impact. Zero waste is already a reality for us, and we are constantly striving to reduce our carbon footprint. Through our partnerships with other Group subsidiaries, every by-product of sugarcane is transformed into a valuable resource. This integrated model perfectly illustrates our circular economy approach, delivering environmental, social and economic benefits.

To what extent do your activities contribute to job creation and regional development?

Agriterra is one of the larger employers in the North region, across factory operations, fields, logistics and agronomy. New projects added to this base will create both agricultural and skilled processing roles over the coming years, while our development projects engage local contractors and partners.

As a longstanding economic player in Mauritius, Agriterra has extensive experience across a wide range of industries and economic activities. We actively participate in a number of job fairs throughout the year, offering many job opportunities to the public. We also offer tailored leadership programmes and various training opportunities to help our teams develop essential expertise, while engaging with schools to promote careers in agriculture.

These initiatives demonstrate our commitment to fostering meaningful relationships with surrounding communities and empowering the next generation of talent.

What is your assessment of the current food security situation in Mauritius?

Unfortunately, Mauritius remains structurally dependent on food imports for many staples. Recent volatility in global commodity and freight prices has made that dependence more visible and more costly for households.

I believe that the country needs to embrace a new consumption model in order to achieve long-term food security. Local and seasonal products should be given greater value, and we must also diversify our crops to provide affordable alternatives for the population.

Agriterra has been actively contributing to this effort for several years. Our production of potatoes for direct consumption is steadily increasing, for example, helping to strengthen local supply chains and reduce reliance on imported produce. We produce potato seeds as well.

As part of this commitment, we continue to invest in sustainable farming practices and local agricultural resilience.

How can Agriterra help reduce dependence on food imports?

To achieve this, the group has two main objectives: bringing more land into productive vegetable cultivation and improving productivity. Our derocking and land-levelling projects are turning fallow or rocky plots into cultivable land for potato, onion and other food crops.

To increase our production capacity, we are also investing significantly into additional, modern equipment. This strengthens our resilience to climatic changes and rising costs, while enabling us to maintain a significant area dedicated to food crop cultivation.

What concrete projects are you implementing to support self-sufficiency?

Agriterra is implementing several concrete initiatives to strengthen agricultural self-sufficiency. We have over 15 hectares dedicated to potato production, complemented by an additional 15 hectares for potato seed production, ensuring a sustainable, locally sourced seed supply for future seasons.

Our onion production currently covers 7 hectares, while we also cultivate over 1 hectare of sweet potatoes. In addition, we have established a 6-hectare macadamia production trial to assess the crop’s suitability and its long-term potential for diversification.

Do you believe the sugarcane industry can play a role in a broader food security strategy?

Yes, in a complementary rather than direct role. Sugarcane by-products such as bagasse and molasses already contribute to energy generation and soil fertility, supporting the wider agricultural ecosystem. Equally important, mechanisms such as the guaranteed minimum revenue for sugarcane planters help preserve agricultural land by preventing its conversion to non-agricultural purposes. Preserving that arable land base is a fundamental prerequisite for any food security strategy, even if some areas may eventually transition to other crops.

What budgetary measures did you expect from the government to support agriculture and agro-industry?

We would have welcomed continuity and predictability in price-support mechanisms covering cane and food crops, complemented with targeted capital grants or concessional financing for diversification of infrastructure, irrigation systems and water access for all planters. Additional support and incentive for mechanisation to offset rising labour costs, as well as a faster, clearer land-conversion and permitting process for strategic agricultural investments, would also make a tangible difference to projects such as ours.

Does the 2026-2027 budget sufficiently address food security and the rising cost of living?

Beyond the initiatives announced in the Budget, Mauritius, as an island nation, continues to face the challenge of a high dependence on imported food. There is always room to further strengthen support for local agriculture, as increasing domestic production is key to enhancing food security, building resilience and helping to mitigate the impact of rising living costs.

Was there enough emphasis on agricultural modernization and sustainability?

The Budget has announced several encouraging measures in line with the sector’s priorities, including those covering climate-resilient practices, value-chain investment and strategic reserves. However, this scale of modernisation cannot be achieved through a single Budget exercise. It requires sustained, multi-year commitment to irrigation, mechanisation and digital tools.

What type of fiscal incentives or subsidies would be necessary to encourage local production and achieve self-sufficiency?

I believe that VAT or duty exemptions on agricultural equipment and irrigation infrastructure would help lower the capital barriers to modernisation. Accelerated depreciation or capital allowances could also further encourage investment in value-added activities rather than raw production alone. To encourage the expansion of local vegetable production, similar pricing support mechanisms to those currently applied to sugarcane could be extended to strategic import-substitution crops such as onions and potatoes.

How does Agriterra plan to align its projects with the priorities defined in this budget?

Our diversification agenda (macadamia, vegetables, industrial composting) already goes in the same direction. Furthermore, we intend to engage with relevant schemes, such as those offered by Landscope Mauritius, as well as any food-resilience or controlled-environment agriculture support programs that are applicable to our land and projects. We are also pursuing our Bonsucro certification work, which aligns with the sustainability principles presented during the Budget

What is your ambition for Agriterra over the next five years?

Agriterra’s ambition is to strengthen its role as a key partner in the sugarcane sector in the North. While sugarcane will remain our core activity, we will also focus on improving productivity, optimising land management and embracing digital solutions to support more efficient and sustainable operations.

At the same time, we want to further develop a more diversified agricultural model by exploring complementary crops and initiatives that contribute to local food production and long-term resilience.

Do you see opportunities for regional cooperation in the Indian Ocean to strengthen collective food security?

Yes. Mauritius shares many of the same structural challenges as its Indian Ocean neighbours, such as a small landmass, import dependence and exposure to climate shocks. There is real scope for cooperation on agronomic research, joint procurement of inputs, and even coordinated strategic reserves among Indian Ocean Commission members. This approach would give smaller economies more collective weight than they have individually.

Is Agriterra looking towards the wider Indian Ocean region?

We remain open to regional partnerships or export opportunities supporting our strategy, even though we have no immediate plans for direct operations outside Mauritius.

What message would you like to convey to policymakers and citizens about the importance of investing in local agriculture?

Investing in agriculture today is an investment in national resilience, not an attachment to the past. Every hectare of land kept productive and every locally grown vegetable that replaces an import makes Mauritius less exposed to global price shocks and supply disruptions. That resilience could only be built by consistent policy support in the long term. To remain attractive and viable for the next generation of workers, agriculture needs the same level of predictability and support that other strategic sectors benefit from today.